Starbucks (SBUX) shares have traded in a pretty tight range since coming out of a long correction, while management has been getting back to basics.
And it shouldn’t be long before we get to see prices hit new all-time highs. They’re focusing on the bread-and-butter markets of breakfast and lunch.
And they’re keeping it simple by canceling the rollout of Evolution Fresh stores in favor of growing their coffee shop presence.
Chinese sales will be adding a lot of dry powder to the top line. And a rollout in Italy’s coffee-loving market will help boost performance as well.
This is the only straight retail company I’ve got any faith in these days. And that’s because it’s such a well-run company that I’m expecting our shares to see new highs this year based on the back-to-basics focus. SBUX has upside to $70.
